Backing the Unconventional: EIF invests in fund powering diverse tech founders

• EIF backs Unconventional Ventures Fund II, an impact fund exclusively supporting underrepresented founders
• Fund targets scalable early-stage tech companies in climate, health and education
• EIF €20 million investment supports successful first close exceeding €50 million

The European Investment Fund (EIF) is investing in Unconventional Ventures Fund II, a Danish-Swedish impact fund that exclusively backs tech start-ups founded by underrepresented entrepreneurs. The EIF €20 million investment contributes to the fund’s first close, which secures over €50 million – more than 65% of its €80 million target – with support from Denmark’s Export and Investment Fund (EIFO), the Inner Foundation, and several family offices and philanthropic investors.

Unconventional Ventures (UV) is the first impact investor in Europe with a mandate to fund companies where the majority of ownership lies with founders who are women, people of foreign descent, LGBTQ+ individuals, or others often excluded from mainstream venture capital.

This investment is in line with the European Union’s objectives to foster inclusive entrepreneurship, boost innovation, and support the green and digital transitions across member states.

“Europe's future competitiveness relies on innovation that reflects the full diversity of its people,” said Chief Executive of the European Investment Fund Marjut Falkstedt. “By backing Unconventional Ventures Fund II, we are investing in inclusive entrepreneurship and unlocking the potential of founders who bring new ideas, perspectives and solutions to the table. This is smart impact investing – combining equity with excellence.”

UV Fund II will focus on early-stage investments in scalable tech businesses that address pressing challenges in climate, health and education. Portfolio companies must have at least one underrepresented founder in the core team and a business model that delivers measurable environmental or social impact.

“This successful first close sends a clear message to the market: diversity is not just a moral imperative –it’s a strategic advantage,” said General Partner at Unconventional Ventures Nora Bavey. “We are proud to have EIF as a partner that shares our conviction that inclusive innovation leads to stronger companies and better returns.”

The new fund builds on the track record of UV Fund I, which invested in 19 early-stage companies across the Nordics and Europe. These companies have demonstrated strong capital efficiency, mission alignment, and the ability to attract significant follow-on investment.

Background

EIF

The EIF is part of the European Investment Bank (EIB) Group. It supports Europe’s SMEs by improving their access to finance through a wide range of selected financial intermediaries. The EIF designs, promotes and implements equity and debt financing instruments targeting SMEs. In this role, the EIF fosters EU objectives in support of entrepreneurship, growth, innovation, research and development, the green and digital transitions and employment.

Unconventional Ventures

Unconventional Ventures is a Nordic venture capital firm that invests in diverse founding teams at the earliest stages – entrepreneurs building scalable tech companies with a clear impact mission. With diversity as a starting point and a strong commitment to reshaping the structures of the venture capital industry, UV is setting a new standard for how capital can drive both equity and innovation across Europe.

Press contacts:
EIB Group: Thomas Eriksson | t.eriksson@ext.eib.org | +46 70 974 59 48
Unconventional Ventures:  Nora Bavey | nora@unconventional.vc | +46 70 388 06 38